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bucolic_frolic

(51,469 posts)
4. It's all about earnings, and 5% of the companies make 95% of the earnings
Sun Jul 25, 2021, 11:40 AM
Jul 2021

The list of stocks that have rocketed .... I don't know when I tracked them ... but have you noticed ....

HD Home Depot
LOW Lowes
TGT Target
NKE Nike
MCD McDonalds
WMT Walmart

And that's not to mention the obvious, FAANG stocks, MSFT TSLA. Earnings compound, so the high fliers fly higher.

With the market at all time highs, there is a growth industry of articles 'What to buy in a crash'.

Please indulge my NKE tale. About 1981, I bought my first Nikes. At a Macy's subsidiary, on sale, $18.99. Prussian Blue in satin, suede, tan waffle bottoms, racer stripe. Somewhere I saw a pair with a silver swoosh, but could never find a pair to buy.

NKE at that time was about $8.00 a share as I recall, or it might have been after the '87 or dotcom crash. Also recall Best Buy BBY at $8, about 2000.

Don't know how many times NKE has split.

But I will say no one in my house, or my family, or me, knew enough in 1981 to rush to the broker and salt away 100 shares. Could retire on that today.

Another play would have been to buy 20 pairs of NKE waffle bottoms. New today they go for about $250 on eBay.

I left real money on the table over my life.

Don't let it happen to you. The growth is in great companies with earnings. Even Robert Kiyosaki knows you can use stocks instead of real estate. Rent them out with options, just like leasing an apartment.

I'm making my list and checking it twice!

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